Introduction

The sellside has a myriad of opportunities for college graduates and full time professionals. While the careers of professionals will be more focused on specific parts of finance, in this lesson, we will mainly discuss the opportunities available from the perspective of those who wish to enter the industry for the first time. Making a career decision is tough, so it is important to be aware of what we are getting ourselves into. We will display two charts that have a focus on the technical aspects of work, and the qualitative aspects like work-life balance and career progression.

Opportunities Part 1

Below, we will outline some of the common opportunities availabe on the sellside of finance. Included are the types of firms these opportunities will be found at, the name of the position/title, skills that will probably be needed, and some of the day to day tasks the job will entail.

Firm	Position	Skills	Day to Day
Investment Bank	M&A Banker	Microsoft excel. Powerpoint. Bloomberg. Accounting, 3 financial statements.	Create merger transaction models in excel. Models to value both the target company and the acquirer post-transaction. Making powerpoints to present to corporate clients on the transaction valuation.
	ECM Banker	Microsoft excel. Powerpoint. Bloomberg. Accounting, 3 financial statements.	Create merger transaction models in excel. Models to value both the target company and the acquirer post-transaction. Making powerpoints to present to corporate clients on the transaction valuation.
	DCM Banker	Microsoft excel. Powerpoint. Bloomberg. Accounting, 3 financial statements.	Know how to price the bond of a company using comparables in the industry and other metrics. Be familiar with bond markets and issuances. Go through logistics of issuing bonds. Help create and review legal documents pertaining to the bonds to be issued.
	Industry Group Banker	Microsoft excel. Powerpoint. Bloomberg. Accounting, 3 financial statements.	Focus on transactions in a specific industry. Create various valuation models in excel depending on the type of transaction. Be familiar with industry dynamics and the management of the companies that are clients. Make powerpoint presentations for senior bankers to present to clients.
	Lev-Fin Banker	Microsoft excel. Powerpoint. Bloomberg. Accounting, 3 financial statements.	Know how to price a loan financing option for buyside firms and corporations. Generally use past comparable transactions as a guideline. Know the typical metrics of measuring risk in a loan transaction. Be comfortable analyzing data in excel as well as building out financing models. Make powerpoints for senior bankers to present to clients. Help create and review loan agreements.
	Equity Trader	Microsoft excel. Bloomberg. Equity Valuation. Market Awareness.	Morning meetings before the equity markets open on company specific news with research analysts and broader market news. Provide liquidity to buyside firms through various trading platforms. Get a feel for how stocks in a coverage list or a certain sector trade. Manage risk in volatile market environments. Update trading book at beginning and end of trading day.
	Equity Sales	Salesperson Mentality. Microsoft excel. Bloomberg. Equity Valuation. Market Awareness.	Morning meetings before the equity markets open on company specific news with research analysts and broader market news. Maintain relationships with existing clients and try to find new trading clients. Provide clients with perspective on the market and trading ideas.
	Credit Trader	Microsoft excel. Bloomberg. Credit Valuation. Market Awareness.	Morning meetings before the credit markets open on company specific news with research analysts and broader market news. Provide liquidity to buyside firms through various trading platforms. Get a feel for how bonds in a coverage list or a certain sector trade. Manage risk in volatile market environments. Update trading book at beginning and end of trading day.
	Credit Sales	Salesperson Mentality. Microsoft excel. Bloomberg. Equity Valuation. Market Awareness.	Morning meetings before the credit markets open on company specific news with research analysts and broader market news. Maintain relationships with existing clients and try to find new trading clients. Provide clients with perspective on the market and trading ideas.
	ABS Trader	Microsoft excel. Bloomberg. Asset Valuation. Financial Modeling. Market Awareness.	Morning meetings on security specific news and broader market news. Provide liquidity to buyside firms through various trading platforms. Get a feel for trends in the Asset Backed Securities market. Manage risk in volatile market environments. Update trading book at beginning and end of trading day.
	ABS Sales	Salesperson Mentality. Microsoft excel. Bloomberg. Asset Valuation. Financial Modeling. Market Awareness.	Morning meetings on trends in various asset backed securities. Maintain relationships with existing clients and try to find new potential ABS investors as clients. Provide clients with perspective on the market and trading ideas.
	FX Trader	Microsoft excel. Bloomberg. Macroeconomics. Market Awareness.	Morning meetings on currencies, central bank, political, and country specific developments. Provide liquidity to buyside firms, corporations, and governments through various trading platforms. Get a feel for trends in the FX market. Manage risk in volatile market environments. Update trading book at beginning and end of trading day.
	Interest Rates Trader	Microsoft excel. Bloomberg. High Level Math. Macroeconomics. Market Awareness.	Morning meetings on interest rate developments, central bank news, economic news, etc. Provide liquidity to buyside firms, corporations through various trading platforms. Get a feel for trends in interest rates. Manage risk in volatile market environments. Update trading book at beginning and end of trading day.
	Government Bonds Trader	Microsoft excel. Bloomberg. High Level Math. Macroeconomics. Market Awareness.	Morning meetings on government news, central bank news, economic news. Provide liquidity to buyside firms, corporations, and governments through various trading platforms. Get a feel for trends in the Treasuries market and the yield curve. Manage risk in volatile market environments. Update trading book at beginning and end of trading day.
	Derivatives Trader	Microsoft excel. Bloomberg. High Level Math. Options. Market Awareness.	Morning meetings on news on respective asset classes for derivatives traders. Manage risk and various exposures of derivatives trading book. Provide liquidity to buyside clients and corporations. Update and review trading book at beginning and end of trading day.
	Commodities Trader	Microsoft excel. Bloomberg. Macroeconomics. Market Awareness.	Morning meetings on currencies, central bank, political, and country specific developments. Provide liquidity to buyside firms, corporations, and governments through various trading platforms. Get a feel for trends in the FX market. Manage risk in volatile market environments. Update trading book at beginning and end of trading day.
	Macro Sales	Salesperson Mentality. Microsoft excel. Bloomberg. Equity Valuation. Market Awareness.	Morning meetings on macroeconomic news before the respective markets for each asset class open. Maintain relationships with existing clients and try to find new trading clients. Provide clients with perspective on the market and trading ideas.
	Equity Research Analyst	Microsoft excel. Accounting. 3 Financial Statements. Equity Valuation. Bloomberg.	Update equity valuation models. Talk to company management and industry specialists. Go to conferences, events in respectively covered industries. Talk to investors, traders, and provide color on industry trends and company specifics. Publish research reports.
	Credit Research Analyst	Microsoft excel. Accounting. 3 Financial Statements. Credit Valuation. Bloomberg.	Update credit valuation models. Talk to company management and industry specialists. Go to conferences, events in respectively covered industries. Talk to investors, traders, and provide color on industry trends and company specifics. Publish research reports.
	Macro Research Analyst	Microsoft excel. Macroeconomics. Bloomberg. Solid Math Skills.	Update macroeconomic models for various macro asset classes. Talk to traders and provide color on market trends. Publish research reports.
	Commodities Research Analyst	Microsoft excel. Macroeconomics. Bloomberg.	Update models on commodities. Talk to traders and provide color on market trends. Talk to companies and specialists in respective industries of each commodity. Publish research reports.
	Economist	Microsoft excel. Bloomberg. Statistics. Economics Background and/or Graduate School Research.	Update models on economic forecasts. Talk to traders and provide color on macroeconomic trends. Publish research reports.
Commercial Bank	Loan Analyst	Microsoft excel. Powerpoint. Loan Valuation. Accounting. Financial Statements.	Analyze the riskiness of loans and borrowers. Talk to relationship managers and provide resources for senior bankers to use when meeting with clients.
	Loan Sales	Salesperson Mentality. Excel. Powerpoint. Loan Valuation. Accounting.	Maintain existing client relationships and help find potential clients. Serve as intermediary between the client and originating/analyst teams, assist senior bankers, and update on developments.
	Loan Originator	Microsoft excel. Powerpoint. Loan Valuation. Credit Risk Metrics. Accounting. Financial Statements.	Take care of the process of underwriting the loan. Help create and review legal documents of the underwriting process. Know the specifics and help create the loan agreement according to client needs and risk/return analysis for the bank.
	Loan Portfolio Analyst	Microsoft excel. Powerpoint. Loan Valuation. Credit Risk Metrics. Accounting. Financial Statements.	Analyze the risk and return metrics of the bank's portfolio of loans. Be responsible for maintenance requirements, keep records of turnover of the portfolio.
	Real Estate Analyst	Microsoft excel. Powerpoint. Loan Valuation. Credit Risk Metrics. Accounting. Financial Statements.	Analyze the riskiness of real estate loans and borrowers. Keep up to date on real estate market trends. Talk to relationship managers and provide resources for senior bankers to use when meeting with clients.
	Mortgage Loan Originator	Microsoft excel. Powerpoint. Loan Valuation. Credit Risk Metrics. Accounting. Financial Statements.	Take care of the process of underwriting a mortgage loan. Help create and review legal documents of the underwriting process. Know the specifics and help create the loan agreement according to client needs and risk/return analysis for the bank.
Retail Bank	Personal Banker	Financial Literacy. Salesperson Mentality. Ability to Accommodate Clients. Knowledge of Products and Services.	Maintain existing client relationships and help create new ones. Educate the client on available products and services and provide general and specific advice on personal finances.
	Loan Analyst	Microsoft excel. Powerpoint. Loan Valuation. Credit Risk Metrics. Accounting. Financial Statements.	Analyze the riskiness of loans and borrowers. Talk to and provide resources for personal bankers to use when meeting with retail clients.
Ratings Agency	Fixed Income Analyst	Microsoft excel. Accounting. 3 Financial Statements. Credit Valuation. Bloomberg.	Analyze the bonds of companies and assign a credit rating based on the company's credit-worthiness. This is to provide a general guideline for investors to use to assess a bond's risk.

Opportunities Part 2

Below, we will outline some of the common opportunities availabe on the sellside of finance. Included are the types of firms these opportunities will be found at, the position type, work-life balance, compensation trends, and career progression.

Firm	Position	Work-Life Balance	Compensation/Career Progression
Investment Bank	Investment Banker	With the high pay of being an investment banker comes with long hours. Workflow varies and is highly dependent on the amount of deals your team is taking on. The intensity of the work during the day might not always be the highest, but crunch time comes for the junior bankers when they get handed work by the mid-level bankers that are due in a few days or sometimes even the next morning. Perks of the job include free meals and bonding time with your coworkers. This is why personality fit is highly important - no team wants to hire someone they won't get along with. Other pros include chances to entertain clients at nice restaurants and events. Just be prepared for the hours - the banks will get their money's worth.	At the junior level, investment bankers get paid roughly the same as other roles such as traders, sales and research. This is usually a little higher but not by much. It is more consistent at large banks than at middle-market or boutique investment banks. Many people choose to start at a large investment bank with the intention of staying a few years and then jumping to the buyside such as private equity or hedge funds. The buyside can offer higher pay and slightly better lifestyle, but is more hit or miss depending on where you go. People who do well and stay at the investment bank, when they get to more senior positions, really start to reap the rewards. At this point you are at the relationship manager level, and your responsibilities turn to mainly bringing in business rather than building models.
	Trader	Traders have more predictable schedules than investment bankers. Hours are slightly better because they are mostly market-based. Traders generally are in a couple hours before and after market hours for their respective asset classes. With a better schedule also means the bank is less willing to give you as many perks as investment bankers. Hours don't change that much from junior to senior trader since it is still market dependent and the trading floor has a somewhat flat structure. More macro products may have the same hours trading hours for US markets, but traders need to be up to date with developments around the world for an asset class like FX, which never stops trading across countries around the world.	Because of the flat structure of trading floors, traders' responsibilities don't change that much from a junior to senior level. However, the amount of money they manage in their trading books does change a lot, if you do well. Compensation at the higher level is highly dependent on how trading performance. Most traders stay as traders throughout their lives and are less likely to jump around compared to a junior investment banker. Other than staying at the bank, some traders take opportunities on the buyside at hedge funds.
	Sales	Sales usually has normal schedules as far as the working day is concerned. However, it is also important to be sociable and entertain clients in the evenings to maintain and attract new business. This is somewhat still work, but usually more enjoyable than office work. It can sometimes be dependent on clients' schedules.	Junior sales associates start out by keeping clients up to date by sending out morning emails, updates on market trends, etc. More senior sales associates' compensation depends on the amount of clients that they bring in and how much business those clients do with the bank.
	Research	Research associates and analysts have schedules that are more dependent on corporate events rather than market hours or deal flow. During "off season", hours are quite normal and usually work is just updating models on events and market developments. During earnings season, it becomes much more intense as analysts need to change their models depending on the earnings conference calls, earnings reports and other significant changes such as management turnover or merger transactions.	Junior research associates' compensation does not vary much from those in trading and sales. Work life is relatively stable and project based. Upside to compensation is not as large as in trading or investment banking, but there are other perks such as having a stable lifestyle and getting to go to interesting conferences and events. Pressure might come from the need to issue quality and dependable research reports, which affect reputation. Exit opportunities might include research analyst positions at buyside firms.
Commercial Bank	Loan Analyst	Employees at commercial banks have generally more normal schedules than at investment banks, but with that also comes somewhat lower compensation. Loan analysts' schedules are not dependent on market hours or corporate events, but rather deal flow from borrowers seeking financing.	Junior employees start out doing the more technical and day to day work while senior employees are generally more client-facing and maintain the relationship. Compensation at the senior level is more dependent on amount, quality, and size of clients doing business with the bank.
	Loan Sales	Sales associates take care of providing information to clients and serving as a go between. If the client has a basic question or need, they would first contact these employees for assistance. Work schedule is fairly normal, but can vary somewhat depending on the client's schedule.	Junior employees start out doing the more technical and day to day work while senior employees are generally more client-facing and maintain the relationship. Compensation at the senior level is more dependent on amount, quality, and size of clients doing business with the bank.
Retail Bank	Personal Banker	Personal bankers are the relationship managers at retail banking branches. At retail banks, hours are pretty much a normal working day.	Junior employees generally start out at another position at a retail bank, and with more experience work their way up to the relationship manager level. Compensation is fairly average and in line with the reasonable hours.